The ringgit opened higher against the US dollar in early trade today amid fresh buying interest as investors flocked to the local currency following the Thanksgiving holiday in the US.
At 11.20am, the ringgit was at 4.4390, stable against the US dollar from its close of 4.4440 at the end of Thursday.
Bank Muamalat Malaysia Bhd chief economist Afzanizam Rashid said the US dollar index also declined from last week's level of 107.55 to hover around 106 points.
He believed that a combination of factors had influenced global market sentiment and positive developments in the Middle East had the potential to contribute to an increase in the currency market.
In the meantime, market sentiment could remain bearish and cautious due to the lack of catalysts. The ringgit could be traded in a narrow range today and could be around RM4.43 to RM4.44.
Meanwhile, the ringgit was traded lower against a basket of major currencies.
It weakened against the British pound to 5.6298/5.6450 from 5.6217/5.6280 yesterday, fell against the euro to 4.6834/4.6960 from 4.6800/4.6852 and eased against the Japanese yen to 2.9349/2.9431 from 2.9258/2.9293.
In contrast, the local unit traded better against Asean currencies.
It rose slightly against the Singapore dollar at 3.3053/3.3147 from 3.3056/3.3095 at yesterday's close and rose against the Philippine peso to 7.56/7.58 from 7.57/7.58.
The local currency also rose against the Thai baht to 12.8812/12.9292 from 12.8999/12.9211 on Thursday and rose against the Indonesian rupiah to 279.4/280.3 from 279.9/280.5 previously.
